In recent years, a flat display is actively developed, and especially the liquid crystal display device attracts attention from advantages, such as lightness, compactness and low power consumption. Especially, in an active matrix type liquid crystal display device including a switching element in each pixel, the structure using lateral electric field, such as IPS (In-Plane Switching) mode and FFS (Fringe Field Switching) mode, attracts attention. For example, refer to Japanese laid open patent application Nos. P2002-131780 and P2005-3802. The liquid crystal display devices in the lateral electric field modes, such as the IPS, FFS modes etc., are equipped with a pixel electrode and a common electrode formed in an array substrate. A switching transistor formed on the array substrate switches a liquid crystal molecule by applying lateral electric field approximately in parallel to the principal surface of the array substrate. Moreover, a pair of polarizing plates arranged so that respective polarizing axis cross orthogonally are formed on the respective external surfaces of the array substrate and the counter substrate. By arrangement of such polarizing plates, a black image is displayed, for example, at the time when no voltage is impressed, and when the voltage corresponding to an image signal is applied to the pixel electrode, transmissivity (modulation rate) increases gradually and a white image is displayed. In such liquid crystal display device, since liquid crystal molecule rotates within a plane approximately in parallel to the principal surface of the substrates, the polarized state is not influenced greatly by the incidence direction of penetrating light. Furthermore, the liquid crystal display device has features that dependency on viewing angle is small, and the viewing angle is wide.